Kinara Capital's Profit Soars 51% in FY24

New Delhi, May 17 (PTI) MSME lender Kinara Capital has reported a 51 per cent year-over-year jump in Profit After Tax (PAT) to Rs 62 crore, for the year ended March 31, 2024.

In FY24, Kinara Capital marked year-on-year revenue growth of 47 per cent with revenues totalling Rs 723 crore, while operational expenses as a percentage of the Assets Under Management (AUM) decreased by 32 per cent, a company release said.

With its multilingual myKinara App, the fintech NBFC disbursed more than 26,343 new business loans in the last year, a 35 per cent year-on-year increase in the number of loans disbursed.

In FY24, Kinara's active MSME customer base increased by 30 per cent year-on-year, while there was a marked 42 per cent year-on-year increase in its active customer base of women-owned Ministry of Micro, Small and Medium Enterprises (MSMEs).

"In FY24, beyond our high-touch and high-tech model, we also expanded our reach to MSMEs in other states with embedded finance solutions through partnerships. Looking ahead, we are excited as we set our sights on supporting thousands more MSMEs, doubling our AUM by FY26 and crossing the USD 100 million mark in revenues in FY25," Hardika Shah, Founder & CEO, Kinara Capital, said.

Kinara Capital currently has 133 branches. It aims to penetrate further into existing geographies via its branch-led model and reach new MSMEs via its partnerships model. It will also make strategic long-term investments in its in-house tech to create a Lending-as-a-Service (LaaS) set of customisable APIs in order to integrate with more partners in the future.

Since its inception, Kinara Capital has cumulatively disbursed more than Rs 6,700+ crore across over 1.2 lakh number of collateral-free business loans leading to job creation and income generation in local economies.

Overall, the AUM of Kinara Capital has grown at a Compound Annual Growth rate (CAGR) of 51 per cent over the past three years.